When a seller accepts a buyer's offer with written modifications, the effect is:
Why A counteroffer is created, terminating the original offer Is Correct
Answer B: A counteroffer is created, terminating the original offer
Exam Tip: Contracts
Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.
People Also Study
Related Alabama Questions
- In Alabama, what is the effect of a counteroffer on the original offer?Contracts
- What happens to the original offer when a seller submits a counteroffer?Contracts
- A buyer makes a written offer that the seller accepts with a minor handwritten change initialed only by the seller. This creates:Contracts
- An Alabama buyer makes an offer on a home. The listing agent immediately responds that the seller is interested but wants $5,000 more. No written counteroffer is signed. Is there a binding contract?Contracts
Key Terms to Know
A deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
Purchase AgreementA legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
Right of First RefusalA contractual right giving a party the opportunity to match any offer received before the owner can accept it from a third party.
ContingencyA condition in a purchase contract that must be satisfied before the sale can proceed to closing.
Study This Topic
Practice More Alabama Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Alabama Quiz →